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Our Verdict
As your company aims to build global teams, Deel offers the most complete solution. Its full-service approach to international payroll, contractor payments, benefits, compliance, and employer of record services smoothly handles the complexity of managing a distributed workforce across borders.
With the ability to easily hire and pay your international employees and contractors in over 150 countries, Deel provides unmatched global employment infrastructure. While Gusto excels at serving US-based businesses, Deel is your preferred platform for businesses executing a global growth strategy today and into the future.
Why Choose Gusto
With Gusto, you have access to a robust set of payroll and HR features tailored specifically to US SMBs. It automates payroll processing, taxes, new hire reporting, and benefits enrollment, making it easier for you to manage your workforce. You also get tools for handling timesheets, PTO, employee data, and performance reviews.
You also get everything you need to pay and take care of your employees, all in one elegant platform. Its online dashboard provides easy access to all payroll and HR features, giving you the convenience you need. Plus, customizable roles and permissions allow you, your managers, and your employees to access relevant data and tools according to your needs.
MORE >>>Â Gusto Payroll Review
Who Gusto Is Right For
Gusto is an excellent fit for your US-based small business that needs an integrated solution for payroll, HR, benefits, and compliance. Specific types of businesses that would benefit from Gusto include:
• Empowers SMBs with 1-100 employees, Gusto streamlines payroll and HR tasks for them.
• Assists your companies with hourly and salaried workers, Gusto simplifies payroll and HR management for them.
• Supports startups and fast-growing businesses, Gusto provides streamlined payroll and HR solutions for their needs.
• Caters to companies with a mixed workforce of W-2 employees and 1099 contractors, Gusto facilitates payroll and HR tasks for them.
• Helps businesses operating in multiple US states, Gusto manages payroll and HR across states efficiently for them.
Who Gusto Isn’t Right For
While Gusto offers strong US payroll and HR features, it has some limitations:
• Falls short for large enterprises, Gusto lacks performance management and recruiting tools, making it less than ideal for their needs.
• Trails behind specialized global payroll/HR platforms.
• Fails to provide its own employer of record (EOR) service for international hiring
Why Choose Deel
You’ll find that Deel excels at simplifying global hiring and contractor payments. With Deel, you can easily hire, pay, and manage international employees and contractors while ensuring local compliance.
In over 150 countries, Deel takes care of all payroll, benefits, taxes, and employment contracts according to local laws. This takes the weight off your shoulders when expanding your business overseas.
Appreciate Deel’s additional services such as visa processing, background checks, employee relocation, and global equipment provisioning for distributed teams. These capabilities make Deel a top platform for remote hiring.
Who Deel Is Right For
Deel offers the most value to these types of businesses that want to:
• Build global remote teams, startups and tech companies can benefit from Deel’s streamlined processes.
• Employ international employees and contractors
• Expand into multiple countries
• Relocates employees abroad, businesses can use Deel’s services for seamless transitions.
• Hires freelancers globally, teams can utilize Deel’s platform for efficient payments and compliance
• Offers free HR tools for companies with under 200 employees
Who Deel Isn’t Right For
While Deel provides unmatched global hiring solutions, it has some drawbacks:
• Overkills US-based businesses with no international activities
• Lacks performance management and recruiting tools found in standalone HR suites
• To qualify for Deel’s platform, your contractors must meet specific criteria
Main Differences
Here, for its ability to provide services for different users globally, Deel takes the lead.
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Standout Features
Gusto
In this section, Deel still stands as the winner
Streamlines Payroll
Gusto automates US payroll across all 50 states. It calculates wages, deductions, and tax liabilities for each pay period and pay date. Support for multiple pay schedules provides flexibility in paying employees.
Deel handles payroll globally across 150+ countries. This includes calculating local taxes and deductions. Businesses get paid time off management, timesheets, and flexible payment options for international employees.
Enhances HR Capabilities
Gusto offers extensive HR features beyond just core payroll. This includes applicant tracking, onboarding, employee data management, time off requests, and performance reviews.
Deel provides a free HR platform for up to 200 employees. This features maintenance of global employee records, PTO tracking, organizational charting, and pulse surveys. However Deel lacks performance reviews and recruiting.
Manages Benefits Management
Gusto enables easy enrollment in health insurance, retirement savings, and fringe benefits. It automates management of flexible spending accounts, commuter benefits, HSAs, and 401(k) plans.
PRO TIPS >>>Â Payroll Software: What to Look for Before Buying
Deel
Deel gives companies the ability to provide quality, locally-compliant benefits packages across the world. This global approach to benefits simplifies hiring top talent anywhere.
Facilitates Contractor Payments
Gusto facilitates payment of 1099 contractors alongside regular payroll. Contractors can be invited to self-onboard via Gusto with tax forms pre populated.
Deel allows businesses to pay international contractors in over 120 currencies using bank transfers, debit cards, cryptocurrency, mobile wallets, and other online payment platforms.
Handles Global Hiring
While Gusto lacks global hiring capabilities, it is rolling out a new employer of record services through a partnership with Remote in 2023.
Deel provides full-service employer of record (EOR) across 90+ countries. This alleviates the burden of establishing foreign legal entities to hire overseas.
How Purchase Gusto Software
Purchasing Gusto’s payroll software involves a series of steps that necessitate an upfront commitment since no free trial is offered. The process is outlined below and is relatively simple to navigate.
• Provide Information – Prior to registration, Gusto prompts users to answer a few questions regarding themselves and their business, aiming to better understand service requirements and payroll familiarity.
• Opt for Purchase – If you’re certain about procuring a service plan and prefer to skip the demo and continue
• Establish an Account – You’ll be prompted to input your name and company details, and then set up a password. You have the option to manually fill in the information or link your Gusto account to your Google account. Upon completing this step, a verification email will be sent to you.
• Configure Payroll – After verifying your email, Gusto will guide you through the process of setting up and running payroll for your business.
How To Sign Up for Deel
To begin with Deel, you start by requesting a demo. Answer a few questions about your company, including the number of employees and headquarters location. Provide your name, work email, company website, and phone number. Then, schedule a demo.
Also, you can set up an account either as a business or independent contractor. This involves several key steps.
If you own a business, the process includes signing up for a Deel account, providing company details, adding personal information, selecting relevant products, and adding remote employees through the Deel dashboard.
Independent contractor? The process involves signing up on the Deel website, providing personal details, setting up two-factor authentication, verifying identity through selfie and ID submission, and signing contracts digitally or creating their own contracts for clients to sign.
Both processes emphasize the importance of account verification and contract signing, with businesses focusing on managing payroll, hiring, compliance, and HR for remote teams, while independent contractors prioritize establishing their professional identity and contractual agreements with clients.
Pros and Cons
Gusto
With unmatched global payroll and employer of record capabilities across 150+ countries, Deel clearly beats Gusto when it comes to enabling scalable international hiring and payment.
Pros
• Offers a comprehensive payroll & HR suite for US businesses
• Manages benefits and enrollment
• Provides an easy-to-use online platform and mobile app
• Unlocks HR advisory services with the premium plan
• Integrates with a range of software
Cons
• Incurs expensive monthly fees for add-ons like HR services
• Has limited global payroll capabilities
• Does not offer employer of record (EOR) services yet
• Lacks free trial
Deel
Pros
• Provides global payroll and payments available in 150+ countries
• Offers employer of record (EOR) services across 90+ nations
• Supports visa and immigration processes
• Offers a free HR platform for up to 200 employees
• Accepts a range of payment methods, including cryptocurrency
Cons
• Presents a steep learning curve compared to Gusto
• Lacks some standalone HR features like performance reviews
• Requires custom quotes for enterprise-level needs
Customer Reviews
Boasting near-perfect 5 star ratings on every major platform, Gusto emerges as the winner when it comes to customer satisfaction.
When comparing customer reviews, both Gusto and Deel have received high ratings across various platforms. Gusto holds a remarkable 5.0 rating from ForbesADVISOR and NerdWallet, while also receiving a commendable 4.5 rating from US News. On Capterra, both Deel and Gusto receive a solid 4.7 out of 5.0.
In terms of Deel, it has been rated 9/10 by Business.com and holds a strong 4.8 rating on Trustpilot.
GET SMARTER >>>Â Gusto vs. Roll Payroll
Competitors
Companies looking at either platform should also evaluate leading competitors in the space offering complementary capabilities.
QuickBooks Payroll
QuickBooks Payroll is the ideal solution for small and medium-sized businesses already leveraging QuickBooks for accounting and financial management. It fully integrates payroll with QuickBooks desktop and online versions, allowing seamless data sharing between accounting and payroll.
OnPay
OnPay stands out for its comprehensive payroll suite packed with features like unlimited pay runs, full integration with major accounting platforms, automated tax filings, and robust reporting. OnPay also provides HR services like new hire onboarding, PTO tracking, and applicant tracking.
Patriot Software
For a budget-friendly payroll system, Patriot Software offers capable payroll processing and basic HR functionality starting under $10 per month per employee. Patriot also includes worker’s compensation administration and integration with accounting systems.
Oyster
Oyster is an HR platform built for the needs of globally distributed teams. It enables businesses to compliantly hire, pay and manage international employees and contractors in over 150 countries. This reduces the complexity of setting up foreign entities.
Remote
As a leading global Employer of Record (EOR), Remote furnishes compliant hiring and HR infrastructure for international talent across 150+ countries. This includes payroll, benefits, taxes and compliance handled through Remote’s localized entities.
Papaya Global
Papaya Global brings specialized global payroll, payment processing, HR, and compliance solutions for organizations hiring overseas. It allows companies to hire, contract and pay team members globally without needing to set up foreign legal entities.
Pro Tips
• Streamline the process for SMBs planning to hire overseas or expand globally by turning to Deel, which offers critical capabilities like EOR and visa support.
• Take advantage of free trials, demos, and quotes to assess software pricing and capabilities from both Gusto and Deel.
• Explore automated Sync Integrations from Gusto to effortlessly manage HR data across complementary platforms like QuickBooks.
Recap
Gusto and Deel provide solutions to simplify payroll, HR, and benefits for SMBs. Gusto is preferable if you only need to pay employees within the United States, want simple, affordable payroll integrated with HR and benefits, need contractor payments alongside regular payroll, or seek tools like recruiting and performance reviews.
Deel is the choice if you have an existing or future global remote team, want to hire and manage international talent at scale, require support to stay legally compliant across countries, or plan to expand and operate business overseas.
While the two serve distinct functions, they can complement each other. For example, US-based companies with a growing global presence could leverage Gusto for domestic payroll and HR while Deel handles international hiring, contractor payments, and localization needs across borders.
Gusto positions itself as a full-service domestic payroll, HR, and benefits provider tailored to US SMBs across industries. Deel focuses specifically on empowering global remote hiring and workforce management rather than serving as a general HR/payroll catch-all solution.
Gusto centralizes payroll, HR, reporting, and other critical workforce tools conveniently on its online platform. In contrast, Deel takes on the burden of global compliance and localized HR functions behind the scenes so companies can focus on core business goals.
Gusto offers transparent monthly per-person pricing with bulk discounts available on higher tiers with more capabilities unlocked. Deel customizes costs based on variables like company size, number of countries, and services requested rather than one-size-fits-all rigid pricing.
Gusto best suits US employers with domestic employees seeking an integrated payroll and HR environment. Deel proves most popular with growing startups and tech companies building out global remote teams across borders.
Identifying your unique payroll, HR, hiring, and expansion needs should dictate whether Gusto or Deel is the superior choice over the other. Carefully matching specific business requirements to vendor capabilities delivers the best long-term results.
